NOTE 3 - SHARE BASED PAYMENT

6 Months Ended

Jun. 30, 2011

Notes to Financial Statements

NOTE 3 — SHARE BASED PAYMENT

NOTE 3 — SHARE BASED PAYMENT

On August 29, 2008, the Company issued options to certain employees and Board members to purchase membership units in Tiger X. The options give the grantees the right to purchase up to 2,398,400 shares of the Company's common stock at an exercise price of $0.23 per share. The options vest 20% each year over a five-year period and expire after ten years. The weighted average grant date fair value of options granted was $0.13 per option, for a total fair value of $300,000, which will be reflected as an operating expense over the vesting period of the options. Stock option compensation recognized for the three months ended June 30, 2011 and 2010 in the accompanying condensed consolidated statements of operations amounted to $11,000 and $17,000, respectively. Stock option compensation recognized for the six months ended June 30, 2011 and 2010 in the accompanying condensed consolidated statements of operations amounted to $22,000 and $35,000, respectively.

As a result of the sale of substantially all of the Company's assets in April and June 2011 (see Note 1), other than the CEO, Cardo no longer has any employees. As a result, the only options expected to vest are those held by the Company's Board of Directors and CEO, who are expected to remain with the continuing entity. As a result, the estimated forfeiture rate has been adjusted to 75.6%.

A summary of stock option activity as of June 30, 2011, and changes during the period then ended is presented below:

				Weighted-
			Weighted-	Average
			Average	Remaining		Aggregate
			Exercise	Contractual		Intrinsic
	Options		Price	Life (Years)		Value
Outstanding at December 31, 2010	1,961,400	$	0.23	7.67	$	-
Granted	-		-			-
Exercised	-		-			-
Forfeited	(1,576,400)	$	0.23		$	-
Outstanding at June 30, 2011	385,000	$	0.23	7.17	$	-
Vested and expected to vest
at June 30, 2011	385,000	$	0.23	7.17	$	-
Exercisable at June 30, 2011	154,000	$	0.23	7.17	$	-